Abdul Gaffar Abdul Rehman Vs. M/S.Shivnath Rai Harnarain (I) Ltd.& Anr
 Insc 533 (24 August 2006)
Ar. Lakshmanan & Tarun Chatterjee
SLP(C)NO.21127 of 2004) With CIVIL APPEAL NO.3657 OF 2006 (@ SLP(C)NO.2081-2082
of 2005) Dr. AR. Lakshmanan, J.
learned Senior counsel on either side.
APPEAL NO.3656 OF 2006 (@ SLP(C)NO.21127 of 2004) This Appeal was filed by M/s.
Abdul Gaffar Abdul Rehman against the interim order dated 18.3.2004 passed by
the High Court of Delhi in I.A. No.10382 of 2003 in OMP No.300 of 2001. By the
said order, the High Court ordered that the consignment in question be sold at
the Atari Border itself through the Chief Commercial Manager, Northern Railway
in accordance with Railways' rules and regulations regarding public auctions of
such goods and the entire sale proceeds be deposited in the High Court. The
High Court made it clear that the order would be without prejudice to the pleas
of the parties in regard to their claims over the consignment in question.
this order was passed on 18th
March, 2004, the
instant special leave petition was filed in this Court by the appellant only on
24th August, 2004. It is now stated that in the
meanwhile the consignment was auctioned and a sum or Rs.1,95,30,000/- was realised
as sale proceeds. Since goods have already been sold by complying with the
direction of the High Court the appeal has become infructuous and no relief can
be granted to the appellant in this Civil Appeal No.3656 of 2006 (@ SLP(C)NO.21127
of 2004). We, therefore, dispose of the same in view of change in the
circumstances, confirming our order dated 1st October, 2004 by which this Court directed the
amount to be deposited in the High Court pursuant to the auction sale should
not be disbursed.
APPEAL NO.3657 OF 2006 (@ SLP(C)NO.2081-2082 of 2005) This appeal was again
filed by M/s. Abdul Gaffar Abdul Rehman against the interim order dated
24.9.2004 passed by the High Court of Delhi in I.A. Nos.3966 & 6239 of 2004
in OMP No.300 of 2001. By the said order the High Court, after hearing all the
respective parties, allowed the application filed by M/s. Shivnath Rai Harnarain
(I) Ltd. for payment of excise and other dues. By the said order, the Registry
of the High Court was directed to prepare two cheques, one in the sum of
Rs.19,70,064/- in the name of the Excise Department, Yamunagar and another for
Rs.2,33,800/- in the name of the Excise Department, Dehradun. The High Court
also made it clear that the payment will be without prejudice to the rights and
pleas of the parties in regard to their respective claims.
Court by interim order dated 7.2.2005, after issuing notice in the special
leave petition, ordered impleadment of the Commissioner of Excise, Yamuna Nagar
and Commissioner of Excise, Dehradun, in whose favour the directions have been
made by the High Court to issue cheques for payment of excise duty. Notice was
also ordered to the impleaded party. In the meanwhile, this Court stayhed the
operation of order dated 24th
matter was argued by Mr. Kailash Vasdev, learned Senior Counsel for the
appellant and Dr. A.M. Singhvi, learned Senior Counsel for the respondents at
length. Since the main matter filed under Section 9 of the Arbitration &
Conciliation Act is pending before the High Court, we are not inclined to
consider the arguments advanced by the learned Senior Counsel on merits at this
stage. The proper course, in our opinion, would be to request the High Court to
dispose of the Section 9 application at the earliest. Since the matter is
pending in the High Court from October, 2001, we request the High Court to
dispose of the Section 9 application as expeditiously as possible at any rate
not later than 30th
November, 2006. We
make it clear that we are not expressing any opinion on the merits of the rival
claims including the claims of the Excise and Railways. It is open to those
parties to approach the High Court for appropriate relief. The stay granted by
this Court in regard to disbursement of the amount shall be in force till the
disposal of the Section 9 application.
liberty is reserved to all parties to approach the High Court for expeditious
disposal and for other directions, if any.
appeals are accordingly disposed of with no orders as to costs.